brewer12345
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
- Joined
- Mar 6, 2003
- Messages
- 18,085
This is all JMHO, no more, no less. In the last few weeks, it appears to me that the credit markets are slowly starting to crawl out of the gutter. There are lots of signs:
- Bank loan funds seem to be doing better. Take a look at just about any bank loan closed end fund in the past two weeks and see (PPR as an example).
- High yield bonds seem to be stabilizing and drifting upward (see HYG)
- Good quality mortgage backed securities are beginning to be issued again. This is currently restricted to prime loans and the terms are pretty draconian, but its starting up.
- I saw a subprime auto securitization get done, albeit at punitive terms (CPSS was the issuer, you can see it in their news releases)
- Finally, I have heard reports of several CLOs getting done, many of which are being used to soak up the LBO loans (at a discount) languishing on investment bank balance sheets.
This is all still pretty tentative and could easily be knocked down for the 37th time by something bad happening, but I am cautiously optimistic.
Naturally opinions will vary, but I pay very close attention to this stuff and thought it might be of interest.
- Bank loan funds seem to be doing better. Take a look at just about any bank loan closed end fund in the past two weeks and see (PPR as an example).
- High yield bonds seem to be stabilizing and drifting upward (see HYG)
- Good quality mortgage backed securities are beginning to be issued again. This is currently restricted to prime loans and the terms are pretty draconian, but its starting up.
- I saw a subprime auto securitization get done, albeit at punitive terms (CPSS was the issuer, you can see it in their news releases)
- Finally, I have heard reports of several CLOs getting done, many of which are being used to soak up the LBO loans (at a discount) languishing on investment bank balance sheets.
This is all still pretty tentative and could easily be knocked down for the 37th time by something bad happening, but I am cautiously optimistic.
Naturally opinions will vary, but I pay very close attention to this stuff and thought it might be of interest.